I have an LLC and need to create a K-1 form for the members. What product do I need to purchase?

[Fern]

You need to use Turbo Tax Business.

A multi-member LLC must file their own tax return. The IRS treats this type of LLC as a partnership.  This means that the LLC’s income and expenses are distributed to the members using a Form K-1. This tax return can be prepared using Turbo Tax Business.  

You will include the Schedule K-1 in your personal tax return.  Schedule K-1 is not reported on a Schedule C. You can use Turbo Tax Premier to include K-1 information.

Read the article below for more information on how to file an LLC return.

https://turbotax.intuit.com/tax-tools/tax-tips/Small-Business-Taxes/Limited-Liability-Company-Taxes/...

Also see the link below for information on how to purchase and install Turbo Tax Business.

https://turbotax.intuit.com/small-business-taxes/?srqs=null&cid=ppc_gg_b_stan_all_na_Brand-Business_...

[smallBbigB]

Hello,

I don't understand details here. Please clarify my questions. I have a 4 member LLC that has a K1 available. All 4 members are LLC owners too.

1. Do we need individual K1s created from the LLC for our personal tax returns or can we just use the LLC K1 to file our tax returns?

2. If we need to generate individual K1s, which tool do I need for this purpose?

3. All 4 members are from different states and the LLC is in one of the members state. Does this create any complexity for K1s creation?

Appreciate the help. 

Thanks

B

[RobertB4444]

@smallBbigB  I think the problem is "What is a K-1."

Your LLC makes money and spends money.  It is owned by four people.  Because of the way your LLC is taxed it does not pay taxes on the money it makes.  It passes the money it makes through on to the tax returns of the people who own it.  In this case the four of you. 

The way it does that is on a form called a K-1.  The K-1 lets you know what your share of the company's profits and expenses are yours and where to put them on your tax return. 

So there isn't a K-1 from your LLC. But there may be a complete tax return already done for your LLC. If your LLC pays taxes as a corporation and then the LLC has paid the taxes and there are no K-1's.  

Either way you can create a tax return for your business using TurboTax business. If your business needs to have K-1s created for it this is where to do it.

[Richgirl08]

You have an LLC. A single member LLC defaults to Schedule C on your personal return. If your LLC has more than one member, it defaults to a Partnership Return...Form 1065. If you want to be treated as an S Corporation, you should have filed form 2553...this form is called an "S Election" because you are asking the IRS to be treated as an S Corporation. You can accomplish all this with Turbo Tax Business. When you set up the ownership names and percentage of ownership, then input all your financial information, the program will create the necessary K1s. Today, March 15, is the deadline for filing Corporate and Partnership returns.  Go online AS QUICKLY AS POSSIBLE and file form 7004, requesting a 6-month extension.